The cloud of the US government shutdown has not yet dispersed, XRP falls below the key level to $1.74, will it test new lows again in the short term?

January 30 News: Under the macro uncertainty caused by the potential US government shutdown, XRP prices continue to be under pressure, with a nearly 7% correction in the past two days. It has broken below the key support level of $1.80 and is currently testing around $1.70 repeatedly. The previous high point structure formed in the $1.90 to $2.00 range has been completely broken, and market sentiment has clearly weakened.

This round of decline is not an isolated event. The total cryptocurrency market capitalization has fallen by approximately 5.95%, dropping to $2.81 trillion. Leveraged longs have been forced to close positions, with liquidation amounts exceeding $1.7 billion. Bitcoin has fallen below the $85,000 mark, Ethereum has dropped below $3,000, and risk assets are generally declining, reflecting the ongoing impact of macro policies and geopolitical events on the market.

However, the latest signals from Washington provide some buffer for the market. Trump and Democratic lawmakers have reached a bipartisan consensus on a temporary funding plan, and the Senate leader Chuck Schumer’s office has also confirmed progress in negotiations. Although there are still disagreements over ICE budget and immigration enforcement restrictions, the urgency of the government shutdown has significantly eased, and legislative processes such as the CLARITY Act are expected to continue.

Fund flow data shows divergence. SoSoValue data indicates approximately $92.92 million net outflow from XRP, while funds related to Ethereum and Solana products have recorded net inflows, suggesting some institutions are adjusting their allocations.

From a technical perspective, on January 30, XRP closed at $1.74, still within a downtrend channel. The RSI is at 29, entering the oversold zone, which may allow for a short-term rebound; the MACD is in negative territory and has formed a death cross, indicating insufficient upward momentum. The $1.70 level is seen as a critical defense line; if it is broken, further downside could open. The $1.90 level above remains an important resistance. In the short term, macro news and capital flows will continue to dominate XRP’s price movement.